Matter Labs, the developer of ZKsync, an Ethereum layer-2 solution, announced a major organizational reorganization and 16% layoffs.
In order to better meet the changing demands of ZKsync (ZKSY) developers for support and technology, the business will be eliminating these roles.
CEO Alex Gluchowski stated in a statement on X that the company’s shifting position in the decentralized ecosystem and the necessity to adjust to new technological needs are the driving forces behind the reorganization. Gluchowski stated:
We went through a large org planning exercise, and it became clear that the talent and roles we have today do not perfectly match our needs”
The decision was made with the recent release of the Elastic Chain and a marked upsurge in demand for ZKsync’s technology.
Gluchowski reassured that Matter Labs is still financially stable despite the layoffs, emphasizing selective hiring and upholding the company’s objective to promote the use of cryptocurrencies.
Exit Packages and Optimism
A comprehensive leave package comprising three months’ base income, ongoing healthcare benefits, and career support will be provided to the impacted employees.
The corporation will also help with immigration matters for a period of four months and offer career placement assistance to affected employees.
The zero-knowledge community fiercely opposed Matter Labs’ trademark applications for the term “ZK” earlier this year, claiming that such breakthroughs ought to remain a public benefit.
Following criticism from well-known ZK academics who emphasized that no single entity should monopolize zero-knowledge proofs, the corporation abandoned its operations.
The corporation has high hopes for the future, pointing to potential expansion and robust technical demand.
